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  "documentTitle": "Alpha Metallurgical Resources, Inc. (AMR)",
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  "authorName": "Spruce Point Capital Management",
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  "presentationDate": "2022-05-17 00:00:00",
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      "text": "AMR had a highly profitable Trading & Logistics business that has been merged into its CAAP – Met segment. The segment reported over $1.0 billion of revenue in 2018. Below, AMR says it builds in margin for terminal fees from using the DTA to export coal. We will show AMR avoided recognizing any of the DTA as an operating expense and thus reports artificially high margins.",
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      "text": "operating margin: 100%",
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      "kind": "other",
      "text": "Books Revenues But What About Expenses ?",
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      "text": "Flexible Trading and Logistics business enhances strategic positioning and provides global customer access. Our Trading and Logistics business enhances the variety of coal products available for us to service export customers in the Americas, Europe and Asia, while also providing us with strategic East Coast port access. Through our 65.0% ownership of DTA, we have approximately 14 million tons of export capacity and guaranteed low-cost port access for our coal. DTA is a key pillar of our strategy to cater to the export met coal market. This facility complements our met operations by blending captive and third-party coal to achieve a broader portfolio of coal qualities. We typically build in margin for terminal fees, overhead, and profit when purchasing third-party coal. Additionally, we sell capacity via throughput contracts to third-party operators. Our Trading and Logistics Operations provide access to international markets and further diversify our revenue sources.",
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      "text": "Source: AMR S-1",
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      "text": "Revenue Booked At 100% Margin",
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